A recent study from Northwestern Mutual revealed found a majority of Tampanians and surrounding communities are feeling negative financial and economic impacts in the early part of the year. That includes a so-so showing on how achievable the American Dream is, with home ownership doing particularly poorly.
Findings include:
- Four in ten, 40%, of Tampa Bay adults indicate they feel financially secure.
- Nearly half, 48% of adults in Tampa Bay believe inflation will increase in 2025, on par with adults nationally (51%). Furthermore, 63% of Tampa Bay adults, the report found, say inflation is the dominant concern that could impact their finances this year, and nearly half (47%) rank inflation as the main obstacle to achieving financial security.
- More than eight of 10, 84%, of Tampa Bay respondents, say they have experienced elevated grocery costs in the last three months. Nearly seven in 10, 69%, experienced elevated utility costs, while 61% experienced elevated gas costs; 64% experienced elevated housing expenses; and 17% experienced elevated childcare expenses.
- Nearly two-thirds of respondents, 61%, say that owning a home will never be financially affordable – now or in the future. Nearly three-fourths, 72%, say that home ownership is essential for building wealth and 64% believe it is possible to achieve financial security without owning a home.
- More than two-thirds, 64%, of adults in Tampa Bay say they prioritize paying down debt versus 36% who prioritize saving. The primary source of non-mortgage debt is credit cards, accounting for twice the No. 2 source (car loans) and three times the No. 3 source (medical debt).
- More than half, 54% believe the American Dream is alive and well, and 49% believe it is attainable for most Americans. (Of course, that leaves 46% and 51% of respondents, respectively, feeling not as good about the American Dream — a dismal sign for the overall economy.)
"Inflation continues to be a significant challenge here in Tampa Bay," says Joe Garrisi, wealth management advisor, Northwestern Mutual’s Backwards Planning Financial in a statement accompanying the report. "Many people are feeling the strain, regardless of their income levels.
